The slope of an indifference curve tells us:
A. the marginal utility the consumer receives from consuming an additional unit of a good.
B. how much of one good is required to compensate the consumer for giving up some of another good.
C. the amount of utility a consumer receives from consuming a bundle of goods.
D. the rate at which utility changes as more of one good is consumed.
B. how much of one good is required to compensate the consumer for giving up some of another good.
You might also like to view...
A business organization owned by a group of people for their mutual benefit:
a. a cooperative b. a labor union c. a limited liability partnership d. a professional organization
If the quantity supplied of candy increases by 10% when the price of candy increases by 20%, which of the following is TRUE?
A) Supply for candy is elastic, and price elasticity of supply = 2.0. B) Supply for candy is inelastic, and price elasticity of supply = 2.0. C) Supply for candy is elastic, and price elasticity of supply = 0.5. D) Supply for candy is inelastic, and price elasticity of supply = 0.5.